9 September 2009 - Gide Loyrette Nouel advises the securitisation vehicle FCT Windermere XII

The French Commercial Court has just implemented a safeguard plan in favour of Hold and Dame Luxembourg, against the opinion of the FCT, practically the only creditor, and the court-appointed receiver (mandataire judiciaire). This decision, which is based on the protection of the proper use of the Coeur Défense building and, more generally, the commercial property market in La Défense, from alleged threats which have in reality been entirely eliminated by the dual undertaking made long ago by the FCT to guarantee the payment of operational expenses to the asset manager and not to sell the building, conflicts not only with the best interests of the FCT and its noteholders but also with those of the commercial property market and of the functioning of structured finance.

Nevertheless, this court decision only represents an admittedly regrettable but by no means definitive stage in the process. The FCT will shortly communicate on the various strategic steps which it intends to take after consultation with its noteholders. In the interim, it advises those following the case to observe the utmost prudence with respect to any "final judgment" on this file which may well be disproved by the outcome of the next phases.

Gide Loyrette Nouel's team comprised Gilles Saint Marc, Olivier Puech, Arnaud de Pesquidoux and Frédéric Daul.